The UK Government has stated that it is strongly committed to tackling tax avoidance. For this purpose, it has today (12.06.2012) launched a formal consultation on a new general anti-abuse rule (GAAR) to tackle artificial and abusive tax avoidance schemes. This follows the Budget 2012 announcement that such a rule will be introduced in 2013. GAAR is expected to deter artificial tax avoidance schemes and contribute to providing a more level playing field for business. The Discussion paper is very relevant from the Indian context because the Indian law on GAAR is also broadly based on the UK law

Vide Order No. 113 of 2012 dated 7.6.2012 the CBDT has transferred and posted officers in the grade of Chief Commissioners of Income-tax & Director Generals of Income-tax with immediate effect

Vide Orders dated 107 and 108 dated 6.6.2012 the CBDT has transferred and posted officers in the grade of Additional & Joint Commissioners of Income-tax in the Directorate of International Taxation & Transfer Pricing

OECD’s Discussion Papers On Transfer Pricing

Vide Order No. 106 of 2012 dated 6.6.2012, the CBDT has transferred/ posted several officers in the grade of Deputy & Assistant Commissioners of Income-tax with immediate effect

Vide Order No. 105 of 2012 dated 6.6.2012, the CBDT has transferred & posted several officers in the Advance Pricing Arrangement (APA) Team in the office of the DGIT (International Taxation) with immediate effect

Vide Order No. 104 of 2012 dated 5.6.2012, the CBDT has transferred/ posted several officers in the grade of Additional/ Joint/ Deputy/ Assistant Commissioners of Income-tax with immediate effect

The result is that Notification No. No.15/2012-Service Tax dated 17.3.2012 shall come into effect on 1.7.2012

The Inland Revenue Authority of Singapore has released a “Consultation Paper” seeking views on the proposed change to the law on taxing software rights. It is pointed out that currently, all payments for the use of software are classified as royalty for tax purposes. Royalty made to non-resident persons are deemed to be sourced in Singapore and the payer has to withhold tax on such payments made to non-residents

Hon’ble Finance Minister Pranab Mukherjee addressed the top brass of the CBEC yesterday (4.6.2012) in which he warned that in the drive to collect more revenue, the assessees should not be “unduly burdened“. He cautioned the department to ensure that their actions did not hinder the smooth conduct of any bona fide activity of an honest and law-abiding tax payer and did not, in any way, add to his legitimate compliance cost. He emphasized that the department had to strive to build a transparent and hassle-free tax regime where the assessee voluntarily complies with the statutory requirements and dreads any breach of regulatory provisions and procedures